BE413 International Business

Environment

Student Details:
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What is meant by ‘globalisation’? Using examples, outline what is meant by

globalisation, detailing the various aspects of the concept, and address the question:
‘how global is globalisation’?

The speeding up of worldwide movement and exchange (of people, products and services,
money, technology or cultural practises) is what is meant by globalisation. As a side
consequence of globalisation, inter-regional and inter-population exchanges are encouraged
and increased (1).

Good examples of cultural globalisation include commodities like coffee and avocados, for
example According to folklore, Ethiopian coffee was first drinking in the Arab area. Due to
commercial exchanges that began in the 11th century, nowadays it is renowned as a
universally consumed product across the world.

People and nations are becoming more linked and dependent on one another, as stated by the
World Health Organization (WHO). Opening of international boundaries to faster movements
of commodities, services, money, people, and ideas; and changes in institutional
arrangements at the worldwide level that support or encourage such flows (2)."

As a result of nations' capacity to rise beyond narrow self-interest, unprecedented economic

prosperity and an abundance of useful scientific advancement have been achieved. As a result
of globalisation and technological development, however, not everyone has reaped the full
benefits.

Economic systems or markets, in turn, influence and are influenced by social difficulties,
cultural elements that are difficult to overcome, geographical specifics, timings of action, and
collaboration networks, all of which have a direct effect on globalisation (3).

As a result, the ability of units or individuals in this economy to produce, analyse, and use
experience and understanding information effectively is at the heart of globalisation. In other
words, it's global because it involves the organisation of economic activity on a worldwide
scale, whether directly or via a network of links between economic actors. These activities
include production, spending, and circulation. Due to changing historical circumstances,
production is produced and competitiveness is played out in a worldwide network of
interactions across corporate networks," says the author.

The word "globalisation" has gone from relative obscurity to common use in less than two
decades.
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Despite this, scholars are still debating the meaning of "globalisation" and whether or not it is
taking place. The term "globalisation" has a wide range of interpretations in the field of
international affairs (4). To better understand globalisation, it may be helpful to first define
the term "global." Three different meanings of the term "global" have been offered in
contemporary discussions regarding globalisation. It was originally used as an alternative to
"world" and "international" to describe life outside of the country. Second, as a term to define
our connection to the world and the planet we call home. Third, the quality of social ties as a
time-spatial notion that is being stretched over the globe. The term "globalisation" refers to
this concept of global.

The term "globalisation" refers to the interconnection of the world's regions. As a

consequence of globalisation, cultural, economic, and political exchanges are becoming more
widespread. While many international relations scholars have attempted to define the word
"globalisation," the majority have done so by referring to global in its third meaning, as
outlined above. Globalization is generally understood in international affairs to be the process
of ever-increasing global change that affects all areas of the planet in a variety of fields,
including the economy, technology, politics, media, and the environment, as well as the
increased global inter - connectivity of people (5). Globalization may be defined as the
spreading, deepening, and speeding up of international interconnection in all current social
life areas, from culture to criminality, financial markets to spirituality, as defined by the
variety of the researchers and investigators.

Good examples of cultural globalisation include commodities like coffee and avocados, for
example According to folklore, Ethiopian coffee was first drinking in the Arab area. Due to
commercial exchanges that began in the 11th century, nowadays it is renowned as an
universally consumed product across the world. In the Dominican Republic and Peru, for
example, avocados are mostly farmed in tropical climates. Guacamole and avocado toasts
have become commonplace over the globe since they were first manufactured in small
batches to meet the needs of the local populace.

At the same time, the rise of the digital world and the power of the internet has made books,
movies, and music instantly accessible throughout the globe. As a result, cultural exchanges
and globalisation are growing at a rapid pace (6). Traditions like Black Friday in the United
States, the Carnival in Brazil, and the Holi Festival in India are all instances of globalisation
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in action. There are many traditions that started out as a local custom, but have now spread
over the globe because of their popularity.

However, globalisation isn't necessarily a good thing. WTO meetings in recent years show a
rising sense of dissatisfaction with the current state of globalisation. People are afraid of
being sacrificed in a global rivalry they don't understand because they feel vulnerable and
endangered by a process, they have no control over. Many developing countries fear that they
will fall farther behind the rich countries if they are forced to deal with international levies
and other trade obstacles, and that they would be cut off from global economic progress as a
consequence.

There are both advantages and disadvantages to globalisation. The issue is not how to avoid
or prevent it. Instead, the question should be how to maximise the positive aspects of
globalisation while minimising the bad ones (7). This may be accomplished by ensuring that
international markets benefit the average person.

It has been shown that international bodies like the World Bank, the International Monetary
Fund (IMF), and WTO as well as regional counterparts like the EU and NAFTA have to
come up with a set of rules to meet the needs of developing and developed nations in order to
demonstrate the most important facet of globalisation. When trade conflicts cannot be
resolved amicably, the WTO provides a useful forum for global governance by seeking to act
as an intermediary between governments.

Despite this, the architecture of international organisations like the United Nations are always
being reviewed and updated due to the fact that member nations frequently have competing
interests. In order to gain the trust of the public, these organisations are subject to continual
change and must take time to establish themselves (8).

Realists believe that the world's environment is now in a state of chaos. Thus, the present
global system does not have a centralised authority whose decisions are obligatory on all
nations. A global order that aims to ensure global stability has been attempted throughout the
years, but attempts to create an authority with the sovereign and legitimacy given to nation
governments have failed. National security strategies of different nations are still affected by
factors that have shaped the interaction between states in contemporary times. All countries
see other countries as possible dangers to their own security (9). Because of this, every
country's political, economic, and social policies are influenced. The convergence of national
economies, known as globalisation, continues to show itself in a variety of ways. One of the
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most divisive issues in today's worldwide discourse. It continues to influence both domestic
and foreign policy in a wide range of countries. It's also the most active geopolitical process
in the contemporary era, as well. There is a movement of manufacturing employment from
one market to another because of the issue. Some of the other effects of globalisation include
the spread of technological and human integration among individuals from different
countries. In addition to creating a single economic system, globalisation has also resulted in
the construction of a single informational system (10). Many of the nation-instruments state's
for dealing with diverse issues are no longer functional, as pointed out by Gowans (2018),
because of the effects of globalisation. This might be a sign that the nation state is on the
verge of disappearing. Globalization has also had a huge impact on the economic systems of
countries like the United States. Innovation in the nation has plummeted, and it has become
more dependent on foreign supply system.

As a result, it has been determined that globalisation increases and accelerates the movement
and interchange of thoughts and commodities across large distances in order to assert the
statement as "how global is globalisation?" Even while it's typical to talk about the
phenomena from a broad global viewpoint, the most significant effects of globalisation are
frequently seen at a very tiny scale. Globalization is made possible through travel and tourism
in the form of cross-cultural exchanges and the dissemination of new ideas and information.
Budget flights and hostels are only two of the many choices available to make travel cheaper.
Allows for a far greater range of exploration than ever before (11).

Globalization, on the other hand, promotes large-scale industrial production and the
transnational circulation of products, which may conflict with principles such as resource
conservation, energy conservation, or limiting greenhouse gas emissions. As a consequence,
opponents of globalisation often claim that it hastens global warming and violates ecological
values (12).
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References
1. Beck U. What is globalization? John Wiley & Sons; 2018 Mar 13.

2. Farnham D. The changing faces of employment relations: Global, comparative and

theoretical perspectives. Red Globe Press; 2017 Sep 16.

3. Giddens A. Globalization. na; 2018 Apr 24.

4. Lane JE. Globalization–The juggernaut of the 21st century. Routledge; 2016 Apr 22.

5. Leblond P. Tax Havens: How Globalization Really Works.

6. Perkins H, Thorns DC. Place, identity and everyday life in a globalizing world. Macmillan
International Higher Education; 2011 Nov 16.

7. Stiglitz JE. The overselling of globalization. Business Economics. 2017 Jul;52(3):129-37.

8. Stofkova Z, Sukalova V. Sustainable development of human resources in globalization

period. Sustainability. 2020 Jan;12(18):7681.

9. Veseth M. Globaloney: unraveling the myths of globalization. Rowman & Littlefield;

2016.

10. Wallach L, Sforza M. The WTO: Five years of reasons to resist corporate globalization.
Seven Stories Press; 2011 Jan 4.

11. Farnham, D., 2017. The changing faces of employment relations: Global, comparative
and theoretical perspectives. Red Globe Press.